Bill Text: NY A01771 | 2023-2024 | General Assembly | Amended

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Bill Title: Relates to limitations on local indebtedness; removes school districts from those not permitted to contract indebtedness.

Spectrum: Strong Partisan Bill (Democrat 12-1)

Status: (Engrossed) 2023-08-04 - delivered to secretary of state [A01771 Detail]

Download: New_York-2023-A01771-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                         1771--A

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    January 20, 2023
                                       ___________

        Introduced  by  M.  of  A.  McDONALD, WALLACE, BURDICK, LUPARDO, HUNTER,
          SAYEGH, ANGELINO, LUNSFORD, FAHY, OTIS, WOERNER -- Multi-Sponsored  by
          --  M. of A. COOK, SIMON -- read once and referred to the Committee on
          Judiciary -- reported and referred to the Committee on Ways and  Means
          --  committee  discharged,  bill amended, ordered reprinted as amended
          and recommitted to said committee

                    CONCURRENT RESOLUTION OF THE SENATE AND ASSEMBLY

        proposing an amendment to section 4 of article 8 of the constitution, in
          relation to limitations on local indebtedness

     1    Section 1. Resolved (if the Senate concur), That section 4 of  article
     2  8 of the constitution be amended to read as follows:
     3    §  4.  Except  as  otherwise provided in this constitution, no county,
     4  city, town[,] or village [or school district] described in this  section
     5  shall  be  allowed  to  contract  indebtedness for any purpose or in any
     6  manner which, including existing indebtedness, shall  exceed  an  amount
     7  equal  to  the  following  percentages  of the average full valuation of
     8  taxable real estate of such county, city, town[,] or village [or  school
     9  district]:
    10    (a) the county of Nassau, for county purposes, ten per centum;
    11    (b)  any county, other than the county of Nassau, for county purposes,
    12  seven per centum;
    13    (c) the city of New York, for city purposes, ten per centum;
    14    (d) any city, other than the city of  New  York,  having  one  hundred
    15  twenty-five thousand or more inhabitants according to the latest federal
    16  census, for city purposes, nine per centum;
    17    (e)  any city having less than one hundred twenty-five thousand inhab-
    18  itants according to  the  latest  federal  census,  for  city  purposes,
    19  [excluding education purposes,] seven per centum;
    20    (f) any town, for town purposes, seven per centum; and
    21    (g) any village for village purposes, seven per centum[; and
    22    (h)  any  school district which is coterminous with, or partly within,
    23  or wholly within, a city having less than one hundred twenty-five  thou-

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD89043-03-3
        A. 1771--A                          2

     1  sand  inhabitants  according to the latest federal census, for education
     2  purposes, five per centum; provided, however, that such  limitation  may
     3  be  increased  in  relation  to  indebtedness  for  specified objects or
     4  purposes  with (1) the approving vote of sixty per centum or more of the
     5  duly qualified voters of such school district voting  on  a  proposition
     6  therefor  submitted at a general or special election, (2) the consent of
     7  The Regents of the University of the State  of  New  York  and  (3)  the
     8  consent of the state comptroller. The legislature shall prescribe by law
     9  the qualifications for voting at any such election].
    10    Except  as  otherwise  provided in this constitution, any indebtedness
    11  contracted in excess of the respective limitations  prescribed  in  this
    12  section shall be void.
    13    [In  ascertaining  the  power of any city having less than one hundred
    14  twenty-five thousand inhabitants according to the latest federal  census
    15  to  contract  indebtedness,  indebtedness  heretofore contracted by such
    16  city for education purposes shall  be  excluded.  Such  indebtedness  so
    17  excluded  shall  be  included  in  ascertaining  the  power  of a school
    18  district which is coterminous with, or partly within, or wholly  within,
    19  such  city  to contract indebtedness. The legislature shall prescribe by
    20  law the manner by which the amount of such indebtedness shall be  deter-
    21  mined  and  allocated  among such school districts. Such law may provide
    22  that such determinations and allocations shall be conclusive if made  or
    23  approved by the state comptroller.
    24    In  ascertaining  the  power  of  a  school district described in this
    25  section to contract indebtedness, certificates  or  other  evidences  of
    26  indebtedness  described  in  paragraph A of section five of this article
    27  shall be excluded.]
    28    The average full valuation of taxable real estate of any such  county,
    29  city, town[,] or village [or school district] shall be determined in the
    30  manner prescribed in section ten of this article.
    31    Nothing  contained  in  this  section  shall be deemed to restrict the
    32  powers granted to the legislature by other provisions of this  constitu-
    33  tion  to  further  restrict  the  powers of any county, city, town[,] or
    34  village [or school district] to contract indebtedness.
    35    § 2. Resolved (if the Senate concur), That the foregoing amendment  be
    36  submitted  to the people for approval at the general election to be held
    37  in the year 2023 in accordance with the provisions of the election law.